A high turnover rate can be a very costly for sales organizations. Not only do companies lose the employee, but they lose all the funds invested in sales training and the loss of future business opportunities. So, how can you avoid hiring the wrong people? Review these four various causes and solutions:
1. The Sales Manager
The most common cause of sales rep turnover is a bad employee-manager relationship. If this relationship does not work, it will ultimately lead to a termination or resignation.
2. Poor Hiring
Hiring someone with the wrong talent will immediately create problems. Poor hiring could be caused by a deficient process, mismatched profile of skills and experience, or both.
If a salesperson doesn’t enjoy the type of sales that their organization is engaged in, this will lead to turnover.
3. Pay and Benefits
Many employees will leave their companies due to insufficient pay or benefits. If an employee’s compensation does not directly reflect their efforts and achievements, it is often easier for them to find alternative work.
4. Connection to the organization, or to senior management
Similar to the first point, if they employee does not feel a connection to the organization or they do not feel a part of the vision, mission, strategy and key priorities, high turnover is likely to occur. It is important to clarify what your future plans are as an organization, so you can focus on keeping that vision top-of-mind when hiring, so new employees can work together to achieve it.
5. Lack of Commitment to Quality
Salespeople will take issue with their company if they don’t feel that the company stands behind its products. That is, when they make a sale, the organization can’t support the delivery of quality goods and services.
Make Informed Decisions with an Online Psychometric Assessment
Strategic organizations are increasingly utilizing employee assessment tests to provide them with measurable information that can’t otherwise be found in interviews and resumes. Information provided from a sales assessment or performance assessment brings consistency and objectivity to the hiring process and provides a roadmap to developing your staff’s strengths and weaknesses.
Learn more here.
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